OS EFEITOS DO LIVRE COMÉRCIO SOBRE O MERCADO DE GRÃOS NO BRASIL

Abstract

This paper aims to identify the effects of free trade agreements in multilateral scope upon grains producers in Brazil and how they affect the other main regions in the world. Using a spatial model formulated as Mixed Complementary Problem, it is possible to show that there are gains to Brazilians producers of rice and soybeans when only trade barriers are eliminated. Otherwise, the Brazilian producers of maize and wheat have losses in this scenario. When trade barriers and subsidies are eliminated, we achieve higher gains to rice, soybeans and wheat producers in Brazil. However, the maize producers still maintain losses; ever so these losses are lower in this scenario. Finally, the main results contribute to reaffirm the position of Brazilian Government which looking for a freer trade with less subsidies.